Wescast Industries sold to China-based company
Published Thursday, March 28, 2013 11:09AM EDT
Nearly a year after it was first announced, a local auto manufacturer has finally been sold.
Wescast Industries Inc. is now owned by China-based Sichuan Bohong Industry Co. Ltd. The $195-million deal was finalized Wednesday afternoon.
Wescast has plants in Strathroy, Wingham and Stratford with headquarters in Brantford. It employs over 2,000 people at plants around the world.
Wescast’s main business is making exhaust manifolds for the North American market, of which they have an estimated 51 per cent share.
Sichuan Bohong entered into an agreement to buy the century-old manufacturer last June, but has had trouble securing the required financing to get the deal done. That financing came through Wednesday.
Executives have said no major changes are expected in the foreseeable future. While some Wescast employees have expressed concern about the takeover by a foreign company, others are excited about the opportunities and ideas a new owner may bring with them.
As a wholly-owned subsidiary of Sichuan Bohong, Wescast is no longer a publicly-traded company and will be delisted from the Toronto Stock Exchange at the end of Thursday.